State Secretary Marco Rubio and European Union (EU) Commissioner for Trade and Economic Security Maroš Šefčovič signed a Memorandum of Understanding (MOU) establishing a strategic partnership to diversify critical mineral supply chains.
“Obviously, this shows a growing awareness and commitment throughout the world – particularly with our allies in the West and in Europe – the importance of supply chain and critical minerals to the success of our economies and to our national security, for that matter,” Secretary Rubio stated during the signing ceremony.
Secretary Rubio addresses the threats that arise from the “over-concentration of these resources,” which are “dominated by one or two places,” advocating for “diversity in our supply chains.”
The agreement aims to reduce the U.S. and the EU’s reliance on China-dominated sources by establishing a partnership to secure sustainable access to essential minerals. The MOU promotes economic success, national security, and sectors such as defense, clean energy, and technology.
According to the U.S. Naval Institute, China holds a dominant position in most of the global supply of essential minerals, dominating the production of at least 15 critical minerals and mineral groups. Additionally, China controls the majority of the refining capacity of these materials, with 90% of critical earths refined there.
Secretary Rubio praised the agreement, calling it a “very important achievement,” affirming that both the U.S. and the EU need “to have reliable, affordable sources for” these critical minerals.
Simultaneously, the Office of the U.S. Trade Representative and Ambassador Jamieson Greer announced agreement on the United States-European Union Action Plan for Critical Minerals Supply Chain Resilience.
According to a press release from the Office’s website, “The Action Plan will serve as the primary U.S.-EU mechanism to coordinate trade policies and measures on critical minerals supply chains with a view to concluding a binding plurilateral agreement on trade in critical minerals.”
